Tennessee § 57-9-201 - Beverages owned, possessed or sold by unlicensed persons deemed contraband — Untaxed alcoholic beverages — Seizure and sale — Vehicles subject to confiscation.

§ 57-9-201. Beverages owned, possessed or sold by unlicensed persons deemed contraband — Untaxed alcoholic beverages — Seizure and sale — Vehicles subject to confiscation.

All alcoholic beverages of more than five percent (5%) alcohol in excess of five gallons (5 gals.) that are owned or possessed by any person in any county of this state, whether or not such county has authorized the sale or distribution of alcohol within its jurisdiction, without the same having been purchased or obtained from an entity holding a license issued under § 57-3-204, § 57-3-203 or § 57-3-207, or manufactured at an entity holding a license issued under § 57-3-218, are declared to be contraband goods, and the same may be seized by the representative, agent or employee of the commission, or sheriff or deputy sheriffs of any such county, and such goods may be delivered to the alcoholic beverage commission for sale by the commissioner of general services in accordance with §§ 12-2-201 — 12-2-204. The reference to “sheriff or deputy sheriffs” in the preceding sentence also includes “constables” in those counties of this state enumerated in § 57-9-101. All alcoholic beverages, which are sold or stored in wet counties for the purpose of sale by a person who does not hold a state liquor license shall be contraband within the meaning of this part, and subject to seizure as provided herein. No bids shall be received on such contraband beverages except from persons duly licensed by the state to handle alcoholic beverages of more than five percent (5%). Any vehicle, aircraft or boat not a common carrier which may be used for transportation or storage, either in wet or dry counties, for the purpose of distribution, gift or sale of untaxed alcoholic beverages shall likewise be subject to confiscation and sale in the manner herein provided. Should any untaxed alcoholic beverages be found in any vehicle, aircraft or boat, same shall be prima facie evidence that it was there for gift, sale or distribution. Vehicles and any other articles of personal property which may be found at a still, still site, or place of storage, which still, still site or place of storage is being used by persons known or unknown who have failed to procure a state liquor license, or have failed to pay the taxes imposed by § 57-3-302 are declared to be contraband goods and shall likewise be subject to confiscation and sale in the manner herein provided; however, before any vehicle declared to be contraband, under this part, is sold as provided herein, a copy of notice of seizure shall be sent by registered mail to the owner and lienholder as of record in the motor vehicle division of the department of revenue. Such notice shall state a general description of the seized vehicle, the reasons for the seizure, the procedure by which recovery of the vehicle may be sought, including the time period in which a claim for recovery must be presented, and the consequences of failing to file within the time period. A copy of the notice shall be filed in the office of the commission and shall be open to the public for inspection. This section shall be applicable to dry counties in like manner as to wet counties. In the case of any vehicle, aircraft, or boat not a common carrier seized by any law enforcement officer of any incorporated municipality or of any county and turned over to the commission for confiscation, fifty percent (50%) of the amount received from the sale thereof shall be paid to the municipality or to the county served by such law enforcement officer, as the case may be. The presence of alcoholic beverages at a still, still site or place of storage in excess of one gallon (1 gal.) without a bill of lading or receipt from a licensed retailer, wholesaler, winery or manufacturer shall create a rebuttable presumption that the taxes imposed by § 57-3-302 have not been paid. Acts 1941, ch. 119, § 1; C. Supp. 1950, § 6648.24 (Williams, § 6648.26); Acts 1955, ch. 347, § 5; impl. am. Acts 1959, ch. 9, § 14; Acts 1959, ch. 267, § 1; impl. am. Acts 1959, ch. 9, § 5; impl. am. Acts 1959, ch. 303, § 1; impl. am. Acts 1961, ch. 97, § 5; Acts 1963, ch. 258, § 1; 1967, ch. 72, § 1; 1969, ch. 160, § 3; 1969, ch. 319, §§ 3, 4; impl. am. Acts 1972, ch. 543, § 7; Acts 1973, ch. 357, § 1; T.C.A. (orig. ed.), § 57-622; Acts 1992, ch. 608, §§ 13-16; 2009, ch. 434, § 11; 2011, ch. 451, § 8; 2017, ch. 147, § 16. Compiler's Notes. The commissioner of general services, referred to in this section, was changed to chief procurement officer in §§ 12-2-201 – 12-2-204 by Acts 2011, ch. 295, § 9(a), effective April 1, 2012. Cross-References. Certified mail in lieu of registered mail, § 1-3-111 . Forfeiture of conveyances used in theft, title 40, ch. 33. Procedure for seizing contraband property in cases of seizure of alcoholic beverages, § 57-9-202 . Textbooks. Tennessee Criminal Practice and Procedure (Raybin), § 18.237. Tennessee Jurisprudence, 16 Tenn. Juris., Intoxicating Liquors, §§ 22, 23, 26, 28. Law Reviews. Forfeitures Under the Tennessee Drug Control Act (Lewis L. Laska), 16 Mem. St. U.L. Rev. 431 (1986). NOTES TO DECISIONS 1. Purpose. 2. Confiscation of Vehicle. 3. Power of Circuit Court to Return Contraband. 1. Purpose. The provisions of this part in regard to confiscation of vehicles used for transportation of unstamped alcoholic beverages, were enacted as a practical, effective means of preventing and detecting fraudulent use of our highways under the pretense of interstate transportation, and the purpose of the legislature was not to control its distribution in adjoining states. Dye v. McCanless, 185 Tenn. 18, 202 S.W.2d 657, 1947 Tenn. LEXIS 294 (1947). 2. Confiscation of Vehicle. Forfeiture or confiscation of the vehicle is not automatically accomplished, nor does it necessarily take place at all, but rather the property confiscated is subject to forfeiture “in the manner herein provided.” Wells v. McCanless, 184 Tenn. 293, 198 S.W.2d 641, 1947 Tenn. LEXIS 379 (1947). A vehicle being used for the transportation of unstamped alcoholic beverages through Tennessee is subject to confiscation notwithstanding the fact that the alcoholic beverages were not for distribution, gift or sale in Tennessee. Dye v. McCanless, 185 Tenn. 18, 202 S.W.2d 657, 1947 Tenn. LEXIS 294 (1947). Confiscation sale by commissioner could be attacked by owner in suit by owner to replevin car from purchasers at sale since order of sale by commissioner was not a judgment by a court. Brooks v. McCoy, 192 Tenn. 586, 241 S.W.2d 579, 1951 Tenn. LEXIS 305 (1951). Where person sold unstamped whiskey to officer and officer after arrest of person searched automobile of such person 18½ feet from house, but on another's property, in which the officer found whiskey and confiscated automobile, the search of such automobile was proper. Atkins v. Harris, 202 Tenn. 489, 304 S.W.2d 650, 1957 Tenn. LEXIS 414 (1957). Where car was found abandoned at side of road after chase, it was proper for the police officers to inspect and search the car, and liquor found in such car could be used as evidence against it. Boyd v. General Motors Acceptance Corp., 205 Tenn. 658, 330 S.W.2d 13, 1959 Tenn. LEXIS 405 (1959). In order to confiscate a vehicle because it is used for transporting or storing intoxicating liquors in violation of law the conditions of the statute must be strictly complied with. Boyd v. Christy, 206 Tenn. 304, 333 S.W.2d 552, 1960 Tenn. LEXIS 365 (1960). Subsection (b) of this section does not permit the confiscation of vehicles and other articles merely because found at the place or premises where illegal liquor was stored, but such vehicles and articles of personal property are subject to confiscation only where they are found at such place of illegal storage under circumstances showing that they are being used in furtherance of such illegal operation. Boyd v. Christy, 206 Tenn. 304, 333 S.W.2d 552, 1960 Tenn. LEXIS 365 (1960). Where no liquor was found in car parked about 50 feet from locked garage in which were found nine 50-gallon barrels of whiskey which could not possibly be hauled or stored in the car, the evidence was insufficient to justify a seizure and confiscation of the car for transporting or storing unstamped alcoholic beverages. Boyd v. Christy, 206 Tenn. 304, 333 S.W.2d 552, 1960 Tenn. LEXIS 365 (1960). Under this section a car is subject to seizure if unstamped liquor is found therein for the purpose of distribution, gift or sale, and the presence of unstamped liquor is prima facie evidence that it is for gift, sale or distribution, but when evidence is offered that the whiskey was not for distribution, gift or sale, the presumption disappears. MacFarland v. Wofford, 211 Tenn. 309, 364 S.W.2d 914, 1963 Tenn. LEXIS 351 (1963). 3. Power of Circuit Court to Return Contraband. Where the alcoholic beverage commission seized contraband liquor from a defendant charged with illegal possession and the charge was nolle prossed, the court held that a jury verdict of acquittal was not binding on the court or the commission with regard to the disposition of the confiscated liquor, that, under T.C.A. § 57-3-411 and related statutes a circuit court had no authority to order the return of the liquor to the defendant, and that the liquor had to be sold as contraband in accordance with T.C.A. §§ 57-9-201 — 57-9-204 . Alcoholic Beverage Com. v. Simmons, 512 S.W.2d 585, 1973 Tenn. Crim. App. LEXIS 225 (Tenn. Crim. App. 1973).